{"type":"rich","version":"1.0","provider_name":"Transistor","provider_url":"https://transistor.fm","author_name":"Company Interviews","title":"Golconda Gold (TSXV:GG) - Aiming To Deliver a Step Change in Production","html":"","width":"100%","height":180,"duration":1116,"description":"Interview with Nick Brodie, Director & CEO of Golconda Gold LtdOur previous interview: https://www.cruxinvestor.com/posts/galane-gold-gg-addressing-issues-head-on-ready-for-2022-1398Recording date: 17th January 2024Golconda Gold Positioned to Unlock Value from Long-Life South African AssetGold miner Golconda Gold operates two assets - the Galaxy mine in South Africa and the Summit project in New Mexico. Galaxy is an underground mine with over 130 years of production history and permitted capacity for 50,000 tons per month of ore processing. However, it is only operating at around 15,000 tons per month currently. Through a relatively straightforward expansion plan, Golconda aims to ramp up Galaxy to produce 40,000 ounces of gold per year within the next 3-4 years.The key enabler for this production growth is a recent $5 million streaming agreement secured from Empress Capital. Golconda will deliver the first 8,000 ounces produced to Empress at 20% of the prevailing gold price. Thereafter, Empress is entitled to a reduced 2% royalty over an additional 12,000 ounces, before dropping down to a 1.5% life-of-mine royalty. This customized and capped gold stream provides non-dilutive funding for Golconda to purchase necessary expansion equipment and undertake development to open up more stoping areas underground.Importantly, the expansion is completely within the footprint of existing mining works and utilizes Golconda's permitted 2.5 million ounce mineral resource, of which just over 50% has been delineated so far. At the target 40,000 ounce annual rate, Galaxy's current 1.5 million ounce resource could theoretically support over 35 additional years of mine life with further exploration upside from neighboring ore bodies.Previous technical challenges with flooding and equipment reliability have impacted Galaxy's production consistency. However, Golconda's experienced management team has addressed these issues, putting in place upgraded pumping infrastructure. Meanwhile,...","thumbnail_url":"https://img.transistorcdn.com/1wv-MFlQAgnm-ca64e5kK4984dZB0os8-HJdRVsI74M/rs:fill:0:0:1/w:400/h:400/q:60/mb:500000/aHR0cHM6Ly9pbWct/dXBsb2FkLXByb2R1/Y3Rpb24udHJhbnNp/c3Rvci5mbS9zaG93/LzEzNTcyLzE2MjM5/NTQyMDctYXJ0d29y/ay5qcGc.webp","thumbnail_width":300,"thumbnail_height":300}